US Alcohol Sales Grew In 2018

A new report details an increase in consumer spending on beer, wine and spirits in the United States…But it’s not all good news.

Here’s the deal…

A recent report conducted by the beer, wine and spirits analytics firm bw166.com, has found that US alcohol sales generated US$253.8 billion in 2018, an increase of 5.1%, or $12.4 billion.

The study also found that the average US consumer expenditure rose as well as did the average prices for alcoholic beverages in 2018.

That’s the good news…

The bad news (at least for the alcohol industry) has been widely chronicled….Just as with many European countries, the US population is drinking less alcohol, and this study reaffirmed that trend…

According to the report, the overall alcohol serving index fell to 101.4, compared to 102.2 in 2017, meaning that the average adult consumed six fewer drinks in 2018. Which we’ve got to admit isn’t all that devastating a decline over an entire year…just sayin’.

The report also found that the legal drinking age population reached 240.7 million, with an increase of 2.4 million (1%).

But more than 2 million of that 2.4 million increase was comprised by individuals over 60-years-old proving that alcohol’s growth in 2018 was being driven by an aging population, not the younger consumers the alcohol industry is so desperate for…

The wholesale value of alcohol reached $125.3 billion in 2018, which is a 3.61% increase. But while wine and spirits volumes were up, beer volume showed a decline.

Wine volumes were up by 1.4% last year and consumer spending on wine increased by 4.91% to $72.2 billion. Excluding on-premise markups, the average retail price for a 750ml bottle of wine increased to $10.84 last year.

Spirits volume in the US increased by 2.9% in 2018 and consumer spending on the sector increased by 5% to $64.3 billion. The average retail price for a 750ml bottle increased to $15.92, excluding on-premise markups.

And although beer volumes decreased by 2% last year, consumer spending on beer did increase by 5% generating $117.3 billion. And the average retail price for a case of beer increased to $31.29.

Banner image credit: iStock-53752794